IRN-BRU manufacturer AG Barr has announced an initial £20 million acquisition of energy drinks company Boost, with an additional sum of up to £12m dependent on future revenue and profitability performance of the business.
Boost was established in 2001 after founder and managing director Simon Gray (49) and his wife Alison saw the opportunity to offer consumers a quality energy drink at a fraction of the price of other brands at that time.
Two years later Boost, alongside Hardy Distribution, brought the brand to the Northern Ireland market and it later became the number one selling soft drink in the region's local independent convenience sector.
Under the most most five-year contract with Hardy, Boost Drinks - which are available in various pack formats across seven core energy flavours and includes sport and iced coffee products - sold 150 million cans and bottles with a retail value of approximately £75 million, all distributed from Hardy's warehouse facility in Castledawson.
Last year Boost’s unaudited statutory revenue and profit before tax were £42.1m and £1.9m respectively and it had gross assets of £12.5m.
Simon Gray said: “This is a really exciting next step in Boost’s journey as AG Barr has a proven track record of acquiring and developing attractive brands.
“We are confident that together we will be even stronger positioned to take advantage of a number of exciting growth opportunities.
“Boost will continue to be run independently from the office in Leeds, operating as a standalone supported business unit within the AG Barr Group.”
He added: “The Boost team, under my leadership, will remain exactly the same, as will the way we do business, and the products we offer.”
Roger White, chief executive at AG Barr, which also owns the Rubicon and Funkin brands, added: “This acquisition is further evidence of our strategy to continue to grow the business through targeted acquisitions, with a particular focus on developing within high growth and functional categories.
“Boost is one of the UK’s most recognisable functional drinks brands, and we are delighted to welcome the team into the AG Barr Group.”
